Delegates walk past the Transnet logo at the Investing in African Mining Indaba 2024 conference in Cape Town, South Africa February 7, 2024.
Transnet, a state-owned operator of ports and freight rail, has faced challenges in recent years due to under-investment in infrastructure. Equipment shortages have often slowed port operations, causing backlogs that affected exporters and retailers. The new partnership is expected to ease these issues by enhancing capacity and efficiency across key terminals.
Jabu Mdaki, Chief Executive Officer of Transnet Port Terminals, said: “This strategic collaboration empowers us to significantly boost operational efficiency, streamline port logistics, and reduce long-term operational costs.”
As part of the deal, Transnet has already placed substantial orders for Liebherr equipment. These include four ship-to-shore cranes for the Durban port, one of South Africa’s busiest hubs for container traffic. In addition, 48 rubber-tyred gantry cranes have been ordered for the Durban and Cape Town terminals. The company said these investments are central to its strategy of modernizing port facilities and supporting trade flows.
The collaboration is viewed as a step toward ensuring more reliable service levels in South Africa’s logistics sector. By securing new equipment and entering a long-term support arrangement, Transnet aims to address operational delays that have affected supply chains. The agreement is also expected to provide certainty for ongoing maintenance and timely availability of spare parts.
Transnet emphasized that the orders placed with Liebherr form part of its broader plan to improve infrastructure reliability. The new cranes are designed to increase container handling capacity and shorten turnaround times, which could help reduce congestion in ports. This, in turn, is intended to support smoother movement of goods and strengthen the competitiveness of South Africa’s ports in regional and international trade.
Industry observers note that the deal reflects a shift toward long-term solutions in South Africa’s logistics sector. Instead of short-term fixes, Transnet is committing to a structured modernization programme. The focus on both equipment supply and asset management ensures that the investment will be supported over decades of operation.
The partnership with Liebherr is also expected to reduce costs associated with unplanned maintenance and downtime. By securing a maintenance framework, Transnet seeks to achieve consistent service performance and create a more predictable operating environment for its port users.
Overall, the agreement marks an important step in Transnet’s efforts to upgrade its port operations. With new cranes ordered and a 20-year management programme in place, the company is positioning itself to provide more efficient, reliable, and cost-effective logistics services in the years ahead.
